During the last 30 years the capacity of commercial optical systems exceeded the network traffic requirements, mainly due to the extraordinary scalability of wavelength division multiplexing technology that has been successfully used to expand capacity in optical systems and meet increasing bandwidth requirements since the early 1990’s. Nevertheless, the rapid growth of network traffic inverted this situation and current trends show faster growing network traffic than system capacity. To enable further and faster growth of optical communication network capacity, several breakthroughs occurred during the last decade. First, optical coherent communications, which were the subject of intensive research in the 1980’s, were revived. This triggered the employment of advanced modulation formats. Afterwards, with the introduction of orthogonal frequency division multiplexing (OFDM) and Nyquist WDM modulation techniques in optical communication systems, very efficient utilisation of the available spectral bandwidth was enabled. In such systems the spectral guard bands between neighbouring channels are minimised, at the expense of stricter requirements on the performance of optical sources, especially the frequency (or wavelength) stability. Attractive solutions to address the frequency stability issues are optical multicarrier sources which simultaneously generate multiple phase correlated optical carriers that ensure that the frequency difference between the carriers is fixed. In this thesis, a number of optical multicarrier sources are presented and analysed, with special focus being on semiconductor mode-locked lasers and gain-switched comb sources. High capacity and spectrally efficient optical systems for short and medium reach applications (from 3 km up to 300 km), based on optical frequency combs as optical sources, advanced modulation formats (m-QAM) and modulation techniques (OFDM and Nyquist WDM) have been proposed and presented. Also, certain optoelectronic devices (i.e. semiconductor optical amplifier) and techniques (feed-forward heterodyne linewidth reduction scheme) have been utilised to enable the desired system performance.